Okanagan Real Estate Report December 2020
Rom’s Real Estate Opinion
We have finally moved on past the year of 2020. It was a strange yet historic year on many different levels. The real estate market started out as predicted. It was shaping up to be a slightly better year than 2019. Then in March, the world was forced to pause a moment due to COVID-19.
What happened in real estate after that was nothing short of miraculous. First, activity on almost all levels came to a grinding halt. Next, was a bounce back of all bounce backs! Come June, prices across the country rose in every area except Alberta. Here in the Okanagan most real estate companies experienced their best year ever.
Residential prices rose 9% in the Kelowna area. Inventory is at an all-time low and still going down. Absorption is at an all time high and still going up. And of course, interest rates are at an all time low.
In short, we are in a real estate market boom.
What about 2021?
We are now half way through January, 2021 and there are no signs of slowing down. It is too early to tell for sure but it appears 2021 will be another banner year. People are moving here from Alberta and the Lower Mainland and that trend doesn’t appear that will change any time soon.
However, this won’t happen if our inventory gets so low that there’s nothing to sell or the government shuts the country down again. Although, most indicators are that 2021 will be as strong or stronger than 2020.
Final Thoughts
One thing to remember. When the market is falling people will give you all kinds of reasons why it will keep going like that. When the market is rising people will give you all kinds of reasons why it will keep going like that. In either case it never does. 2021 will likely be a record breaking year. As always, this is just the Real Estate World according to Rom.
